Looking At Arizona’s Solar Growth

Solar energy is the fastest-growing and the most affordable source of ‘new’ electricity in the United States. It is projected that by 2031, solar will account for a fifth of electricity generation in the country. But there are states that are not adopting the trend as fast as the others.

Keep on reading to find out why solar remains a less popular form of energy in one of the sunniest states and what Arizona’s government has to do in order to change that.

What Are the Benefits of Solar Energy?

Solar energy is the energy produced by the Sun that is converted into electrical or thermal energy. It is considered to be the cleanest and most abundant energy source on our planet, and it has already become an alternative to more traditional sources of energy in plenty of places across the world.

Solar is typically a great idea for the following reasons:

It helps save money – individuals who use solar energy are able to save on their electricity bills. In a lot of states, you’d also be able to enjoy lower taxes and other government incentives.

It increases the property’s value – the absolute majority of home buyers are willing to pay more for a house that is already equipped with the necessary solar panels.

It creates plenty of job opportunities – solar energy can stimulate the local economy by creating job opportunities for those involved in the installation, maintenance, and manufacturing of solar panels.

It protects the environment – though greenhouse gases may be emitted during the manufacturing process, the actual solar panels do not produce any emissions during operation. When such clean energy replaces other sources of energy, it has a positive, indirect effect on the environment.

Despite having so many benefits, solar energy is still not as popular as coal or natural gas in some states, including Arizona. And though The Grand Canyon Stata is constantly making small steps towards change, that is happening way too slowly. Learning how to become a solar technician in Arizona now more important than ever.

Is Solar Growing in Arizona?

Arizona added over 2,300 clean-energy industry jobs in 2022, but it still hasn’t managed to reach pre-pandemic levels. However, the truth is that many states haven’t yet returned to 2019 employment levels, and according to all trends, it's just a matter of time. Solar Technician Schools in Tuscon are working hard to provide training and education to fill that gap.

Arizona is one of the sunniest states and it has incredible potential for its solar market. But due to public debates and the elimination of incentives, the market has been quite turbulent.

The industry needs to recover from the disturbance to continue to grow. And, thankfully, it looks like that’s exactly what is happening in Arizona right now.

Currently, the state ranks 5th by the total solar power installs with even more robust growth anticipated in the coming years.

Before taking a look at what the future of solar in Arizona has prepared for us, let’s quickly unpack why the industry faced so many challenges in the first place and figure out whether or not things are changing.

Reasons Why Solar Energy Lacks Popularity in Arizona

Lack of renewable energy incentives

Many of the incentives that used to be available have already expired, and, at the moment, there is only a handful of options available for Arizonians. The most important incentive program that is currently operating in the state (RES) sets targets for utility companies. And though that’s a great program, it does not offer any benefits to regular homeowners.

Impact of geography and climate

As Arizona is one of the sunniest states, it would be logical to assume that solar power would quickly become extra popular in the area. But the state’s extreme climate is one of the main reasons why a lot of households are still choosing to not go solar.

The renewable energy source might not be as reliable in some parts of the state, especially in the mountainous regions and in areas where thunderstorms are common.

By the way, even if a house has solar panels installed, it will still use a lot of ‘traditional’ electricity during the very hot summers. Spending thousands on a solar system, in such a case, might simply not make sense for some families.

Many utility companies oppose solar energy

A lot of utility companies make it challenging for homeowners who have installed solar panels to get reimbursed for the excess energy that they produce, simply because the businesses do not want to lose money. Some companies go the extra mile and refuse to work with customers who are planning on purchasing solar panels.

The cost of a solar system

Though solar energy would help you save in the long run and you might be able to qualify for some government incentives, the initial installation cost of the panels remains high. Furthermore, potential customers who live far from major cities might have to additionally pay for special permits and inspections which a lot of families simply cannot afford.

The Future of Solar Energy in The Grand Canyon State

Unfortunately, a lot of homeowners are not aware of the solar incentives that they can take advantage of. And though there are just a few, you still might be able to save a small fortune thanks to:

  1. Federal solar investment tax credit – if you install a photovoltaic system before the end of 2032, the federal tax credit would be 30% of the cost of the system.
  2. Net energy metering – you won’t get paid full price for the excess energy you send to the grid. However, you will receive the excess generation credit rate (it’s slightly lower, but can still make a decent return).
  3. The solar tax credit – you’ll get a state tax credit of 25% of the cost of the solar system that can be used toward state income taxes.

Many Arizonians remain uninformed about the long-term savings associated with solar energy and the governmental subsidies available. Even more are unfamiliar with some of the high-paying careers in solar technology that are continuing to emerge. Thankfully, there are such organizations as Solar United Neighbors that work with local communities to increase awareness and access to renewable sources of energy.

As technology continues to advance and make solar systems cheaper, this alternative energy source will finally start gaining the popularity that it deserves in Arizona.